The Influence of Customer Experience on Customer Loyalty in Telecommunication Industry

This study aims to examine the relationship between customer experiences and customer loyalty in the context of telecommunication industry.A self-administrated questionnaire was distributed to 248 network service subscribers as a sample of this study.PLS approach to Structural Equation Modelling (SEM) was applied to data analysis.In the second-order model derived from the results, customer experience is decomposed into 3 dimensions, namely core service, charging, and brands, which have a significant impact towards customer loyalty.It is concluded that customer experience positively influenced customer's loyalty.The study's results have important implications for the durability of customer relationship with the service provider since it provides the best practice guideline in building customer loyalty through customer experience.Designing good customer experience will ensure telecommunication industry to perform well.Furthermore, this paper hopes to enhance marketing manager's knowledge and understanding of the effect of customer experience towards customer loyalty.Thus, they will be able to precisely maneuver the identified determinants that contribute towards greater customer experiences Verhoef, P., Lemon, K., Parasuraman, A., Roggeveen, A., Tsiros, M., & Schlesinger, L. (2009).Customer experience creation: Determinants, dynamics and management strategies.Journal of Retailing, 85 (1), 31.Walsman, M., Dixon, M., Rush, R., & Verma, R. (2014).It's more than just a game: The effect of core and supplementary services on customer loyalty.Electronic article.